Home / Business and Economy / South Bow Eyes Keystone XL Relaunch, Boosts Canada Exports
South Bow Eyes Keystone XL Relaunch, Boosts Canada Exports
6 Mar
Summary
- South Bow launched an open season for Keystone XL revival.
- Project could increase Canada crude exports by over 12%.
- Requires U.S. administration approval for partial restart.
Canadian pipeline operator South Bow has launched a formal open season seeking binding, long-term shipping commitments for a revival of a segment of the Keystone XL oil pipeline. This initiative, running through March 30, could potentially increase Canada's crude oil exports to the United States by over 12%.
The open season will solicit transportation commitments from Hardisty, Alberta, to various U.S. delivery points. South Bow will then review the results over a 60-day period before deciding on further actions. The project's realization hinges on securing approval from the U.S. administration, and potentially requires the construction of additional pipeline links to U.S. refining hubs.
South Bow took ownership of the Keystone XL pipeline after its spin-off from TC Energy. The pipeline was previously canceled in 2021 by President Joe Biden. Notably, the Canadian portion of the pipeline is already constructed and possesses all necessary Canadian regulatory permits. Separately, South Bow reported a decline in its fourth-quarter adjusted core profit, influenced by reduced throughput volumes on its operating Keystone Pipeline segments.
